Sustainability, Clean Energy, Recycling & ESG Matters

If Ammonia Can Offset Coal In Power Plants, Demand Estimates May Be Too Low

Written by Graham Copley | Nov 9, 2021 7:45:47 PM

One question we would have concerning the IEA ammonia projections in the charts below is whether the absolute demand assumption for 2050 is too low. If Japan has success co-firing its coal-based facilities with ammonia over the next 6-7 years, we could see a step-change in ammonia demand. The chart likely reflects expectations in Japan, but we would expect other coal-heavy economies to follow Japan's lead. If this were the case, we would expect the share of hydrocarbon-based ammonia to rise with accompanying CCS.

Source: IEA – Ammonia Technology Roadmap, November 2021